The January issue of Baker Tilly TPA Index is out
What is the Baker Tilly TPA Index?
It is a periodic publication in which we analyze the economic situation on an ongoing basis, pointing out opportunities and emerging risks on the horizon. All in order to be able to act, react, plan and, above all, accomplish the assumed business objectives, despite the current difficult conditions.
In this edition
|BThe current rate of Baker Tilly TPA Index is 0.59 on a scale of 0 to 1. The neutral index readings do not mean an exit from recession – the pandemic risk continues to weigh on the economy.|
The economic situation is better, but it is not time for joy yet
We start the latest issue of the Baker Tilly TPA Index with an analysis of the current condition of the economy and the transaction market. Despite the continuing restrictions related to COVID-19, one can see a certain, tentative breath of optimism among entrepreneurs. In their view, the situation is beginning to stabilize. The finance and IT sectors point to recovery. The exceptions are the food service and hospitality industries, which have seen large declines practically since the beginning of the pandemic, and are now signaling a deterioration of this already bad situation.
What all sectors have in common is that their activity is lower than the average and the levels a year ago. As a result, GDP growth is likely to remain negative in the fourth quarter of 2020. A difficult situation is also to be expected in the labor market. Forecasts for practically all sectors expect to see a reduction of employment compared to the current levels.